Sam's Club Rolls Out Expansion Plans
Sam’s Club has unveiled plans to open more than 30 new clubs across the U.S. over the next several years. Additionally, the warehouse club will enhance its supply chain with new distribution and fulfillment centers placed throughout the country.
The expansion of its store count will kick off in 2024 with a new Florida location. This year, Sam’s Club will open five new fulfillment and distribution centers with the first located planned for Georgia in the third quarter.
“We’ve seen remarkable growth over the past few years with a record number of members, and we’re excited to bring the experience of Sam’s Club to even more markets as we expand our footprint,” said Kathryn McLay, CEO at Sam’s Club. “And as we open new clubs in new locations, we’ll continue to innovate so that our members shop and save whether in person or online.”
In recent years, Sam’s Club has invested in its physical footprint, enhancing member experiences with improved member service desks, and redesigning the majority of its 600 clubs, making them brighter, easier to navigate, and more functional. The brand has also invested significantly in its in-club technology to improve the shopping experience with Scan & Go Checkout, Scan & Go Fuel, Scan & Ship, Curbside Pickup, and other omni-channel offerings.
The new clubs will be approximately 160,000 square feet, larger than most current locations. Most new clubs will feature a seafood/sushi island, full-service floral, and walk-in dairy and fresh coolers. Additionally, members will have access to a larger healthcare space inclusive of a patient waiting area, health services suites, private consultation rooms, and dedicated hearing and optical centers. Many of the new locations will also include fuel stations and liquor offerings.
To support Sam’s Club’s growth over the past few years, coupled with expanded omnichannel options for their members, the company has undertaken a significant transformation of its supply chain, evolving network and end-to-end capabilities. This will enable noticeable increases in member experience and service times along with supporting the core club growth.
Over the next several years, Sam’s Club will add numerous new facilities to its supply chain network as well as retrofitting a number of existing facilities for more enhanced physical and digital capabilities.
“We have an opportunity to place ourselves on the cutting edge of efficiency and automation, unique to our business model,” said Joseph Godsey, senior vice president of Supply Chain at Sam’s Club.
With this investment, clubs and members will become significantly closer on average to a supply chain facility. As part of these new footprints, Sam’s Club is launching highly automated facilities with state-of-the-art automation and robotics. By combining the shorter distances and the efficiencies added via process, automation and digitization, replenishment of clubs and item fulfillment for members will be best in class.
Sam’s Club said it is committed to constructing and designing its future facilities sustainably. It is designing future clubs with zero emission strategies built in through electrification of equipment, including electric ovens, HVAC equipment, water heating systems, and low emissions refrigeration systems. In addition, Sam’s Club is committed to installing energy efficient LED lighting, electric vehicle charging stations for delivery vehicles and new “green” refrigerant in its new locations.